Mobile TV Business models Mobile Content Cologne, ifs internationale filmschule Köln 24th - 26th October 2007 Stefan Schneiders 1 Nokia Siemens Networks 2007. All rights reserved.
Scale R&D Power Cost efficiency Global Reach Global platforms and partners Ericsson (incl.redback) Nokia Siemens Networks** Alcatel - Lucent* (incl. Nortel s UTRAN) 2 Nokia Siemens Networks 2007. All rights reserved. Nortel* (w/o.utran) All companies with comparable carrier business revenues. * estimated figures ** unaudited calendarised numbers Cisco Huawei* Motorola NEC
Global presence and service capability North America #6 Latin America #2 West & South Europe #2 Middle East & Africa #2 North East #1 China #3 APAC #1 Countries: > 150 Customers: > 600 Connections served: > 1Bn Service professionals: > 20,000 3 Nokia Siemens Networks 2007. All rights reserved. Source: Nokia Siemens Networks 2007
Our market vision of 2015 the World connected Applications pre-dominantly Applications in Internet pre-dominantly in Internet 5 Bn people connected Multitude of business models Broadband Everywhere 4 Nokia Siemens Networks 2007. All rights reserved.
Mobile TV Capture the mass before your competitor Handset and usage: 84 million broadcast TV handsets sold annually by 2010 1 Nearly half a billion people will watch TV on mobile phones by 2011 2 Mobile TV grows by 50% year-on-year to 2010 2 End-users are willing to pay around 7 10 per month and Mobile TV is one of the key drivers for handset selection Revenue potential: Combined mobile TV and video market opportunity reaching 11 billion by 2010 3 Sources: 1 Informa Telecoms & Media (London), 2 IMS Research 08/06, 3 Yankee Group 11/06 5 Nokia Siemens Networks 2007. All rights reserved.
Nokia Siemens Networks has already deployed a large number of Mobile TV platforms Mobile TV unicast commercial with more than 30 operators DVB-H pilots around the world show strong interest in Mobile TV broadcast. Commercial DVB-H launches: - Finland - India - Malaysia - Philippines - Vietnam 360media Current Nokia / Nokia Siemens Network references for DVB-H customers incl. pilots 6 Nokia Siemens Networks 2007. All rights reserved.
U Mobile Commercial DVB-H rollout in Malaysia U Mobile was founded in 1998 as MiTV Networks Sdn Bhd. Launch Date Channels Coverage Subscribers Ready for service: 16 Oct 2007 Marketing campaign in Nov. 2007 6 channels: News, Music, Lifestyle, Family/Kids & Variety Channels 4 cities in Klang Valley planned: Kuala Lumpur, Shah Alam, Kajang and Putrajaya Malaysia s newest 3G service, roaming agreement with Celcom End-to-end deployment process which includes implementation integration and application development of DVB-H services. This includes maintenance of U Mobile s infrastructure on a turnkey basis Malaysia s first Mobile LiveTV TM Service Provider - via DVB-H 7 Nokia Siemens Networks 2007. All rights reserved.
SMART & 360 media Commercial DVB-H rollout in the Philippines SMART & 360media (subsidies of PLDT) Launch Date Channels Coverage Subscribers 24 July 2007 11 TV channels on Air: Cartoon Network, Basketball TV, PBA, MTV, CNN, Solar Sports, Jack TV, History Channel, Pinoy Box Office, National Geographic, ETC Mega Manila, Metro Cebu, Davao, Tagaytay, Batangas, and Baguio City. Cagayan de Oro and Boracay covered soon 25 mio. GSM subscribers (02/07) 58 percent market share End-to-end solution including DVB-H platform and Nokia devices (N92, N77). mytv: first commercial mobile TV service in the Philippines 8 Nokia Siemens Networks 2007. All rights reserved.
Combination of complimentary technologies ensures best support of personal TV business Converged media delivery architecture Broadcast, DVB-H Unicast MBMS Mobile Network Broadcast Network Mobile Network Mobile Network Mobile TV content to masses, > 20 channels Mobile TV content to individuals User-controlled personalized channels and interactivity Multimedia services to masses and communities Save 3G capacity for groups watching the same content 9 Nokia Siemens Networks 2007. All rights reserved.
Create the most efficient Mobile TV channel mix: Broadcast for Top TV channels, Unicast for long tail Relative usage Top TV channels High channel variety and user-controlled on-demand services Channels Top TV channels account for 80% of the usage Efficient broadcast User controlled personalized channels Point-to-point Unicast 10 Nokia Siemens Networks 2007. All rights reserved.
Unicast offers excellent user experience and business opportunities Flash Lite 2 client Supporting various clients Video Center Client Network based PVR New use cases Advertisement Part of Media Delivery Solution Mobile Web 2.0 support Access via browser No need to download or install client Preinstalled client on Nokia phone Holistic media experience Never miss your favorite episode Attract users with real anytime paradigm Drive convergence with IPTV Insert advertisement video clip before program starts Research indicates huge market potential New business models 11 Nokia Siemens Networks 2007. All rights reserved.
DVB-H business model builds on cooperation between BNO and MNOs Delivery Broadcast Network Operator TV Program 1 (All) TV Program MNO 1 TV Program MNO 1a up to 30 programs End- User B2C B2B Mobile Network Operator 1 TV Program 1 TV Program 2 TV Program MNO 1 TV Program 1 TV Program 2 TV Program MNO 1 TV Program MNO 1a 5 /mth 15 /mth B2C Mobile Network Operator 2 TV Program 1 (All) TV Program MNO 1 TV Program MNO 2 12 Nokia Siemens Networks 2007. All rights reserved.
Interoperability and standard alignment drives Mobile TV market success Devices OMA IOP Test Fest (Sep./Nov. 2007) IOP Testing for the commercial launch bmcoforum Profile OMA BCAST DVB-H 3GSM Barcelona Selected features for implementation Preferred service layer standard Preferred broadcast standard Interoperability demonstration Media delivery platform 13 Nokia Siemens Networks 2007. All rights reserved.
Nokia Siemens Networks Media Delivery Solution for complementary Unicast & DVB-H Broadcast Devices Media Delivery Solution Network Management System Content Services Media Delivery Control System (Unicast) IPE Subsystem (DVB-H) Interactivity Server Service Manager Streaming Server Live Encoder Backend infrastructure GGSN Manager (MBMS)* Account Manager (SPP) Download Server Charging/Billing Customer Care O&M Data Warehouse Authentication / Authorization *) MBMS modular extension Mobile TV is operational with high availability & reliability 14 Nokia Siemens Networks 2007. All rights reserved.
Mobile TV Broadcast is operational Nokia Siemens Networks DVB-H at IBC 2007 Devices Nokia Siemens Networks Transmission on channel 23 with National Grid Wireless TV Channels Media Delivery Solution free-to-air & encrypted Mobile TV Consumer Experience @ RAI conference centre 15 Nokia Siemens Networks 2007. All rights reserved.
Increase Mobile TV channel number with DVB-H statistical multiplexing Use variability of video signals to increase number of channels Improve the video quality compared to constant bit rate encoding Overall gain approx. 25% - 30% depending on content of channels NEW at IBC2007 DVB-H multiplex Constant bit rate 1 2 3 4 5 6 7 8 9 10 11 12 Statistical Multiplexing 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Content Type: Sport News Speaker Action Allow a higher number of TV channels in DVB-H multiplex 16 Nokia Siemens Networks 2007. All rights reserved.
Operational support systems for DVB-H Integrated monitoring & control solution NetAct IT / SCRIMS * is an integrated monitoring & control solution: Nokia Siemens Networks Media Delivery Solution All elements of DVB-T or DVB-H network Combine best aspects of Typical network management tools (like HP OV NNM) Monitoring and Control systems as used in other industries (Building management, SCADA ). NEW at IBC2007 * Smart CRoss Industry Management Solution Reduce operational costs by centralizing monitoring & control 17 Nokia Siemens Networks 2007. All rights reserved.
Operational support systems for DVB-H Monitor Wall NEW at IBC2007 Visualize the different stages of audio and video processing Allow early inspection of audio and video quality through all stages Support operation and monitoring of the MDS platform Enable Mobile TV operators to monitor end-2-end service availability and quality of the MDS platform (planned) Support the operation and monitoring of the MDS platform 18 Nokia Siemens Networks 2007. All rights reserved.
Mobile Quality Analyzer Executive summary: MQA Agent is a background process running on a standard Nokia mobile Capturing service and terminal usage Capturing true end-user experience combined with radio interface details Over-the-air administration and measurement collection Optional Games DVB-H SMS Monitor Analyze Voice Radio counters MQA Agent Report See how thousands of subscribers really experience services 19 Nokia Siemens Networks 2007. All rights reserved.
Mobile Quality Analyzer Understand user experienced Quality of Service Improving network and service quality using the input from your end users Ensuring SLA promises for e.g. corporate customer and VIPs Collecting information also when out of network coverage and being abroad Targeting service and network optimization to the real customer experience Understand user behaviour Analyze Mobile TV usage Analysing a new service before it is being launched Decision making on portfolio Verifying campaign success Identifying trends in usage behavior Creating individual customer offering Understand your competitors Providing visibility of performance benefits Pointing to financial impacts of bad quality level Identifying and quantifying your strength 20 Nokia Siemens Networks 2007. All rights reserved.
New Players and Business Opportunities in Interactivity Ecosystem "create & share content" Consumer Brands Advertiser End User "consume" Devices Broadcaster ISP / Fixed Carrier "interact with the program" Interactive Application Mobile Network Operators Interactive Channel Provider "Usage Patterns" Market Research Institutes TV Channels Content Aggregators Right Owners Content Producers Content Providers Interactivity brings Telco and Media industry together and enables new business 21 Nokia Siemens Networks 2007. All rights reserved.
Interactive applications generate additional revenues in combination with TV services Broad range of interactivity CHAT: online communication while watching TV QUIZ: who knows the right answer wins the prize VOTING: best player, game, goal... DOWNLOAD: scenes, different camera views PURCHASE: tickets, CDs, fan article BETTING: Live betting in front of/or during a game 22 Nokia Siemens Networks 2007. All rights reserved.
Interactive Radio services via DVB-H Different radio services in DVB-H to address specific communities Info.fm Classic.fm Blaster.fm Stock Market update Favorite sport Traffic information CD recommendations Related events Breaking news Chat while listening Studio web cam Current local weather Efficient DVB-H spectrum usage for multiple radio services 23 Nokia Siemens Networks 2007. All rights reserved.
Rich Media Interactivity enhances user experience increasing cross selling potential with advertisers Basic Interactivity Rich Media Interactivity Show icon on Interactive service publishing Enable basic voting Link to service portal or web info server Typical ESG update period 10 minutes Enhanced user experience with combination of multimedia objects Interactive ESG integrating on-demand services Target Group Specific Advertisements Standardized screen layout description Lip synchronization 24 Nokia Siemens Networks 2007. All rights reserved.
3GPP DIMS Scene Structure Enables Optimized Distribution via Broadcast Network Optimal bandwidth utilization (statistical multiplex) based on scene analysis Lip Synchronization Interactivity Demo available Rich media service creation has to combine TV program and interactivity 25 Nokia Siemens Networks 2007. All rights reserved.
Advertising market is shifting to new media Total Advertising Market Share of spending $Bn 100% Newspaper, Magazines, Radio, TV, Internet 2005 2006 2007 2008 Mobile Source: Strategy Analytics Time 26 Nokia Siemens Networks 2007. All rights reserved.
Mobile advertising market has significant business potential (Mio. US$) 15.000 15.000 12.500 10.000 7.500 5.000 2.500 0 2007 2008 2009 2010 2011 Total 1.465 4.166 7.574 10.866 14.426 In-Application 4 20 69 180 409 In-Game 11 35 100 225 428 MMS 22 42 74 113 162 SMS 228 264 300 336 370 Video & TV 166 340 689 1338 2139 Search 101 908 2.025 3.068 4.037 Display / Web 934 2.556 4.317 5.605 6.882 12.500 10.000 7.500 5.000 2.500 0 2007 2008 2009 2010 2011 Total 1.465 4.166 7.574 10.866 14.426 RoW 6 11 22 48 95 CALA 27 35 55 124 258 CE. Europe 22 61 147 296 567 W. Europe 245 901 1.719 2.583 3.448 N. America 176 887 1.913 2.774 3.806 APAC 988 2.271 3.719 5.043 6.252 27 Nokia Siemens Networks 2007. All rights reserved. Source: Strategy Analytics, May 2007
New internet players impose new competitive requirements for the operators New business model Internet ISP s Powered By Advertising Mobile Mobile virtual operator New virtual operators Broadcast Operators Hybrid operators Fixed Mobile operators Cable operators Telecom Fixed operators Established business model 28 Nokia Siemens Networks 2007. All rights reserved.
Operators are in a unique position to capitalize on their subscriber information Innovative and effective way of direct and instant interaction with consumers even on the move! Family Spending Sport Location Work Buddies 24 21 03 18 06 15 Usage Nightlife 12 Name 09 Presence Lunch @Home Age Work Usage context is relevant for advertising! Drive Gender Operators leverage experiences in Direct customer relationship Customer care / usage data (CDRs, typical bill amount, call volume) Revenue sharing Content / service distribution Content / service bundle billing Location capabilities Interworking with terminal equipment vendors / subsidies mgt. Integration of broadcast and unicast services 29 Nokia Siemens Networks 2007. All rights reserved.
Broadcasted ads featuring personalization and interactions Target Group Ads Interactive Ads Personal Ads Hello Mr. Smith do you want to make a test drive? Press: Yes, I want! Ads are selected according to end-user groups time slot 1 time slot 2 Depending on personal profile, MobileTV users see different sequence of ad interstitials Opt-in required for personalized user specific ads 30 Nokia Siemens Networks 2007. All rights reserved.
Target architecture: Integrated multi-channel advertising solution Campaign Planning Campaign Execution Campaign Optimization Campaign Analysis Multi-channel Advertisement Campaign Management Ad placement e-market Content Inventory, Formatting & Linking Campaign Execution Planning Channel & Subscriber Profile Mgmt. & Matching Ad Play-Out & Interaction Context Management Profile Generation Reporting & Analytics Revenue Sharing Media & communication service specific advertisement support functions Mobile Internet Browsing, Mobile TV, IPTV, Messaging (e.g. SMS, MMS), Location 31 Nokia Siemens Networks 2007. All rights reserved.
Converged TV enables new user experiences between Mobile TV and IPTV Today Converged TV Tomorrow CONTENT fixed Separate media cellular CONTENT Converged media delivery delivery platforms broadcast 32 Nokia Siemens Networks 2007. All rights reserved.
Converged Use Case: One Subscription 1 User subscribes to converged TV service 2 Phone & IPTV STB are provided on the move @home 3 User enjoys mobile TV 3 User enjoys mobile IPTV 4 User receives one bill Add-on services subscriptions and upgrades from any device 33 Nokia Siemens Networks 2007. All rights reserved.
Converged Use Case: User Controlled Session Continuity on the move @home 1 Stop Live TV 2 Continue at home 2 Continue on the bus 1 Stop Movie Resume later where you stopped on any device 34 Nokia Siemens Networks 2007. All rights reserved.
Converged Use Case: Network Based Personal Video Recorder on the move @home 1 Select PVR Control application 2 Program PVR for recording clip 3 Add recording to media library 4 Start watching recorded clip Record is added to the media library and can be consumed on the move or at home 35 Nokia Siemens Networks 2007. All rights reserved.
Unique Mobile TV end to end offering including devices, equipment and services Consulting Devices Access networks Distribution Network Service systems Content Factory Project Management Network Implementation Network and Service Optimization Systems Integration Maintenance and care Operations Mobile PC DVB-H WLAN 2G/3G MBMS Satellite Fixed Line Micro wave Mobile TV: Media Delivery Solution Unicast / Broadcast with Interactivity IPTV: Home Entertainment Solution Billing & Charging System Authorization System Operation & Management System Ingestion Transformation Edit Archive Quality Assure Managed Services / Hosting Security Solutions Set Top Box User Experience Tracking DSL WiMax Device Management & Qos Mobile Quality Analyzer Publish Competence Development Audience Measurement & Rating E2E Network Management 36 Nokia Siemens Networks 2007. All rights reserved.
Nokia Siemens Networks Managed Services working in collaboration with our clients DCC Astelit Belux blu Telestet business KG Telecom VIA G 37 Nokia Siemens Networks 2007. All rights reserved.
Mobile TV summary Mobile TV Business Complementary technologies Interactivity & advertising Convergence Turnkey Mobile TV Broadcast via DVB-H is reality with commercial launches in Asia & Europe Combination of complimentary technologies ensures best support of Mobile TV business Interactive applications and advertising will generate additional revenues Mobile TV & IPTV will converge and enable new user experience for TV to go and at home Network design & delivery, project implementation, network integration & care and managed services The growth of Mobile TV is set to grow exponentially, let Nokia and Nokia Siemens Networks be your end to end supplier 38 Nokia Siemens Networks 2007. All rights reserved.
Thank You! Stefan Schneiders email: stefan.schneiders@nsn.com 39 Nokia Siemens Networks 2007. All rights reserved.